slightly higher risk investment with low cost leverage

Per previous posting of using credit card to bill payment to security firms to earn some interest. Some would take higher risk to use as a extended contra on stocks for 30 days credit free.

For those urging to get hold of certain high yield stocks for long term without adequate fund, you might want to open an margin account( requirement of deposit and collateral of shares)Which mean you have 3X ( depend on type of shares and securities firm)the leverage power. Typical interest rate by security firm is 6% charge to you. As credit card need to be payback each month, you should should ensure the withdraw do not affect your margin call.

E.g. Deposit of $10 000. You can buy up to $30 000 worth of shares. Deposit $20 000 bill payment from credit card. End of the month, you need to withdraw and pay the credit card firm. During the withdrawer period, you will be charged the 6% interest. However it is only for a couple of days. Thus one could literally get hold the high yield stock for life without incur high interest.If you really want to have better risk management, utilise only 50% of your credit limit. You might want to purchase stock such as Hyflux Preference Shares that give you 6% without much price fluctuation.

My view is that most likely securities firm and banks do know this. This is one way they help to fuel the stock market.Just be careful rules and regulation are dynamic. Any changes of regulations would affect one holding power. Also do pay the credit cards bill on time as the interest is super high.

low risk investment - getting more credits

Instead of getting 4X your monthly credit limit, get 1/3 your annual income credit limit for SCB by submitting your current notice of assessment of your income tax. If you have shed the hardcopy,  no worry. Log into the website IRAS,  click under View Correspondence/  Notices  and print it out. Yet to try on other banks ...

low risk investment

Nowadays Singapore banks allow bill payment to securities firms. Typical securities firms  have money market fund of 0.5%. This is higher than the interest rate given by banks. You can maximise your credit limit by bill payment to these securities firms. When payment date is up transfer it back. Do it monthly to earn. Imagine those people who have super high credit limit.As the common term say, the rich become richer.....